CNBC Business News Update - Market Midday: Stocks Lower, Walmart Hits Record High, Boeing's New Troubles 8/20/24

Episode Date: August 20, 2024

From Wall Street to Main Street, the latest on the markets and what it means for your money. Updated regularly on weekdays, featuring CNBC expert analysis and sound from top business newsmakers. Anchored and reported by CNBC's Jessica Ettinger.

I'm Jessica Ettinger, CNBC. Wall Street's modestly in the red this afternoon. The S&P 500 index and the Nasdaq are trying for a very rare ninth straight winning day. But the Dow first, it's down 42 points. The S&P 500 index down five points. The Nasdaq down 30 points this afternoon. You have seasonal headwinds. August, September, we're down the last three August, Septembers consistently. It's the roughest patch for the

market. September, the most volatile month. So if people think that, oh, we've had this nice wind streak, it's all clear. No, there's going to be a lot of chop in the next few weeks. Freedom Capital's Jay Woods on CNBC. No big economic data this week, but next week we will get another read on inflation. Companies whose shares hit fresh all-time highs today include GoDaddy, Regeneron, Eli Lilly, AbbVie, Progressive, Berkshire Hathaway Class B shares, Aflac, Walmart, and Netflix. Edgar Bronfman submitting a more than $4 billion rival bid for Paramount Global. The company already has a deal with Skydance, but some shareholders are unhappy with that Skydance plan. Interesting approach here from the Bronfman-led group in terms of

saying they think the Skydance deal on its own, in other words, the purchase of the Skydance studio would be dilutive, and they are trying to make a benefit, so to speak, of the fact that they aren't offering any liquidity for the B shares. It's far from clear to me, guys, that the special committee will see it that way. CNBC's David Faber. Lowe's cutting its full-year outlook. As the home-selling season is slow, it sees home improvement sales weakening this fall. The average rate on a 30-year fixed home loan today is about 6.5 percent according to Mortgage News Daily. That's still not low enough for many would-be buyers who have to face record high home prices. Eli Lilly's weight loss drug

slashes the risk of developing diabetes in a long-term trial. Terzepatide is used in both Zepbound for weight loss and Manjaro for diabetes. The proposed merger of Alaska and Hawaiian Airlines, approved by the Department of Justice. Now the Department of Transportation is taking a look. Boeing has paused all tests of its new 777X jet. Boeing says it has paused test flights of its 777X planes after it found damage in a portion of the aircraft. The company says the damage was located during scheduled maintenance and that it has grounded three other test planes. Meanwhile, Reuters reporting that the FAA will require inspections of Boeing's 787 Dreamliners. This after an incident in March when a LATAM Airlines plane went into a sudden mid-air dive. Reuters says the agency says the issue stemmed from a

movement in the captain's chair that caused the autopilot to disconnect. CNBC's Silvana Hanau. Paramount Plus raises prices today for new subscribers to the streaming service. Eight bucks a month for the regular plan and the plan with Showtime goes up to $13 a month. Jessica Ettinger, CNBC. September 10th, CNBC and Boardroom host a high-powered event exploring the intersection of sports, business, and entertainment. Be there for Game Plan. Get in on the action. Get in on the Game Plan. Register now at cnbcevents.com slash gameplan.